This page will contain news stories about berlusconi, as they become available.Silvio BerlusconiSilvio Berlusconi (help·info) (born September 29, 1936) is the current Prime Minister of Italy. He is the leader of the Forza Italia political movement, a party which he officially announced in January 1994, to run for the first time in the general election in March of the same year. Berlusconi served as Prime Minister for a short term (seven months) in 1994. In 2001, he was appointed to the office again; the second Berlusconi government is the longest-lasting in Italy's republican history. On April 20, 2005, Berlusconi tendered the resignation of his government after losses in regional elections and internal problems in his coalition. On April 23, 2005, he formed a new government without many changes. He is also the owner and founder of an Italian media empire. According to Forbes Magazine, Silvio Berlusconi is Italy's richest person, a self-made man with personal assets worth $12,000,000,000 (USD) in 2005, making him the world's 25th richest person [1]. He was also the President of the A.C. Milan football team between 1986 and 2004; after his resignation - dictated by law - on December 26, 2004 the team didn't however elect a new president [2], so he is now merely the owner of the team. Early yearsBerlusconi was born in an upper middle-class family in Milan; his father Luigi worked at a small bank, Banca Rasini, of which he became general manager in the 1960s before retiring. Silvio was the first of three children, the others being Maria Antonietta Berlusconi (born 1943) and Paolo Berlusconi (born 1949), now both entrepreneurs. Silvio takes a special pride that his father started his career in Banca Rasini as an employee and left as general manager. Palermo judges indicated Banca Rasini among those that were used for mafia money laundering, according to an interview of Michele Sindona by Nick Tosches22. After completing his secondary school education at a Salesian college, which he worked his way through as a singing waiter, he then studied law at the Università Statale in Milan, graduating cum laude with a thesis on the legal aspects of advertising in 1961. Berlusconi did not serve the standard one-year stint in the army which was compulsory at the time. Business careerSilvio Berlusconi with Bettino Craxi, at the time prime minister of Italy.Milano 2Berlusconi's business career began in the construction business in the 1960s. His first entry into the media world was in 1973 by means of a cable television station, Telemilano, designed to service his Milano 2 residential development. Vittorio ManganoIn 1974 Berlusconi moves with his family into Villa Casati, in Milan. Marcello Dell'Utri, a close Berlusconi's friend and coworker, brought in this Villa the young Mafia boss Vittorio Mangano, from Palermo (Sicily). Officially Mangano was hired by Berlusconi as stable keeper, but he also took care of the Villa's security and took sometimes Berlusconi's children to school. Berlusconi kept Mangano as an employee despite his criminal record dating back to the 1960s, and never dismissed him even when, during his time as employee in the Villa, he was imprisoned because of convictions, and suspected of arranging the kidnapping of a friend of Berlusconi. Mangano left spontaneously in late 1976, concerned about Berlusconi's reputation, since many newspapers started making a scandal about his relationship to him. Berlusconi later stated that he was absolutely unaware of who Mangano really was when he hired him. FininvestIn 1978 Berlusconi formed his first media group, Fininvest, that in five years, till 1983, was going to earn 113 billion lire (the equivalent of about 260 milion euro at 1997 value). The funding sources are still unknown, because of the complex system of holding companies that makes them impossible to be determined. Among the banks that helped in this funds transfer was the above mentioned Banca Rasini. Fininvest was to expand to a country wide network of local TV stations which would all broadcast the same materials, forming, in effect, a single national station. This was illegal at the time, since Italian law reserved the monopoly of national TV broadcasting to the public television. In 1980 he founded Italy's first private national network Canale 5, shortly followed by Italia 1 bought from The Rusconi family (1982) and Rete 4 (1984) bought from Mondadori. A strong help to his successful effort to create the first and only Italian commercial TV empire is due to his link with Bettino Craxi, at that time secretary-general of Italian Socialist Party and prime minister of Italy. In 1986, Berlusconi tried also to expand in France with his channel La Cinq, but the project failed and he had to leave in 1990. For many years, the three italian TV channels owned by Berlusconi were not allowed to broadcast news and political commentary, yet they formed the main alternative to the three State-owned channels Rai Uno, Rai Due and Rai Tre. Only in the 1990's was the government monopoly on information ended. In 1995, Berlusconi sold a portion of his media holdings, first to the German media group Kirch (now bankrupt) and then by public trading. In 1999 Berlusconi expanded again in the media business in a partnership with Kirch called the Epsilon MediaGroup. Current AssetsBerlusconi's main group, called Mediaset, comprises three national television channels, which hold approximately half the national viewing audience; and Publitalia, the leading Italian advertising and publicity agency; Berlusconi also owns Mondadori, the largest Italian publishing house, which publishes Panorama, a news magazine; he has interests in cinema and home video distribution firms (Medusa and Penta), insurance and banking (Mediolanum) and a variety of other activities. His brother controls Il Giornale, and his wife Il Foglio, both centre-right newspapers that print a lot fewer daily copies than the more popular Il Corriere della Sera and La Repubblica. Berlusconi also owns the football club AC Milan which some think has been an important factor in the success of his political career ("Forza Italia" means "Go Italy!", and before the party was founded it was connected to football supporters of the national team [3]). Political career"Going Down onto the Field"In the early 1990s, the two largest Italian majority Parties, the Christian Democrats (Democrazia Cristiana) and the Socialist Party (Partito Socialista Italiano) lost much of their electoral strength due to a large number of judicial accusations of corruption for their foremost members (see the Mani Pulite affair). This led to the expectation that elections would be won by the Democratic Party of the Left (Partito Democratico della Sinistra), (the former Communist Party and the main opposition party) and their allies of the Progressive coalition, unless there was a strong alternative: Berlusconi publicly announced on January 26th 1994 his decision to enter politics ("Going down onto the field", in his words) on a platform centered on the defeat of communism. This because just couple of weeks before he decided to enter into politics, the Mani Pulite affair was very close to issuing warrants for him and the chief executives of his group. The debate about the motivesOne of the most debated matters about Berlusconi has been about the true reasons Berlusconi entered into politics. Some critics argued that Berlusconi did it to take care of his own interests, being saving his own companies from bankruptcy and himself from convictions. Instead, Berlusconi's supporters hailed him as the "new man" that was to bring the public bureaucracy to new efficiency and to reform the state from top to bottom; they argued that he was so rich that he would have no interest in using politics to become even richer, and regarding his trials they also argued that just after Berlusconi entered into politics, his opponents tried to get rid of him by a judicial persecution. While investigating these matters, a journalist mentioned some facts: The 1994 Electoral VictoryBerlusconi founded Forza Italia only two months before the 1994 elections; he formed two separate electoral alliances, with the Northern League in northern-Italian colleges, and with post-fascist National Alliance in the center and south; in a pragmatic move, he did not ally with the latter in the North, as the League disliked them: Forza Italia was then allied with two parties that were not allied with each other. Berlusconi launched a massive campaign of electoral advertisements on his three TV networks, and he won the elections, with Forza Italia ranking first party with 21% of popular vote. One of the most clamorous promises he did to win was "one million jobs more". He was appointed Prime Minister in 1994, but his term in office was short because of the inherent contradictions in his coalition, between the League, a regional party with a strong electoral base in northern Italy, which was at that time oscillating between federalist and separatist positions, and National Alliance, a nationalist party which only then started dropping references to fascist ideology and symbols. Fall of the Berlusconi I administrationIn December 1994, the Northern League left the coalition claiming that the electoral pact had not been respected, forcing Berlusconi to resign from office and moving the majority's weight to the centre-left side. The coalition of opposition parties (now including the League) then replaced him. In 1996, the ad-interim coalition formed by Northern League and centre-left was replaced, after a new election, by a centre-leftist government (without the League) led by Romano Prodi. [4] Silvio Berlusconi, Romano Prodi, António Vitorino and Jan Peter BalkenendeElectoral Victory of 2001In 2001 Berlusconi again ran as leader of the centre-right coalition Casa delle Libertà (House of Freedoms) which includes Alleanza Nazionale, UDC (Christian Democrats), Lega Nord and other parties. His success in this election led to him becoming Prime Minister once more, with the coalition receiving 45.4% of the vote for the Chamber of Deputies (Italian's Lower House), and 42.5% for the Senate-House (Italian's Upper House). In a TV show during the electoral campaign, Berlusconi signed the so called Contratto con gli Italiani (agreement with Italians), that was likely a key step to achieve the victory. In this unofficial agreement, Berlusconi claimed he could improve several aspects of italian economy and life, as like lowering taxes, increasing employment, building up new pulic works, increasing retirement rents and struggling crime. Even if the opposition and some allied parties recognized Berlusconi could not achieve what he promised in the contract, most of his allies agree in finding the reasons of this failure in the unfavourable economical condition Italy is living. In particoular, the Italian GDP grew very slowly during Berlusconi's Government, and the public debt rose fastly. Anyway, Berlusconi himself has always claimed he achieved all the goals of the agreement. Subsequent ElectionsCasa delle Libertà has done less well in the 2003 local elections in comparison with the 2001 national elections, and, in common with many other European governing groups, in the 2004 elections of the European Parliament, gaining 43.37% support. Forza Italia's support also reduced from 29.5% to 21.0% (in the 1999 European elections Forza Italia had 25.2%). As an outcome of these results the other coalition parties, whose electoral results were more satisfactory, asked Berlusconi and Forza Italia for more influence in the government's political line. The Berlusconi III CabinetIn the last local elections (April 3 and April 4, 2005), the opposition The Union (formerly known as Olive Tree) won easily 12 of 14 regions where there was a vote; Berlusconi's coalition held in only two regions (Lombardy and Veneto). Two parties (UDC and NPSI) left the Berlusconi government. Berlusconi thus presented to the President of the Republic the dissolution of his government on April 20, 2005, after much hesitation. On April 23 he formed a new government with the same allies, but with some changes in the ministers and in the program. A key point required by UDC (and to a minor extent by AN) was to reduce the focus on tax reduction the government had had, because this was considered incompatible with Italy's financial situation. There have been harsh criticisms on Berlusconi's choices: the ministry of Health, previously occupied by Girolamo Sirchia, a famous doctor, has been given to Francesco Storace, who, only a few weeks earlier, lost the regional elections in Latium. Another controversial move was the nomination of Giulio Tremonti as Vice-Prime Minister. Tremonti had been the Minister of Economy just few years earlier, but was forced to resign. He is strongly supported by the Northern League, but opposed by UDC and AN. PoliciesAs he founded his Forza Italia party and entered politics, Berlusconi expressed support for "freedom, the individual, family, enterprise, Italian tradition, Christian tradition and love for weaker people" [5]. Forza Italia could be considered a liberal party on economical issues, although references to liberalism were more common in the initial years of the party development than they are now; some consider Forza Italia a populist party. However, Forza Italia officially joined the European People's Party in 1999, theoretically choosing to be identified mainly as a Christian Democratic party. Internal democracy in the party is very low and internal dissent virtually non-existent. There are no known factions or currents; at present three party conventions have been held, all of them resolved to support Berlusconi, and his re-election by acclamation. Every man in the party apparatus is appointed by Berlusconi himself: for all these reasons, its political opponents call Forza Italia "the plastic party". Some allies of Berlusconi, especially Lega Nord (Northern League) push for a strong control of immigration and getting their support has required some changes in policies from Berlusconi. Berlusconi himself has shown some reluctance to pursue such policies as strongly as his allies might like. [6] Even so, a number of measures have been taken, but the effects are controversial. The government, after introducing a controversial immigration law (the "Bossi-Fini", from the names of Lega Nord and Alleanza Nazionale leaders) is searching for the cooperation of both European and other Mediterranean countries to face the emergency of the large number of immigrants trying to reach Italian coasts on old and overloaded ferries and fishing boats, risking (and, often, losing) their life. The Berlusconi government has had a strong tendency to support American foreign policies despite the policy divide between the U.S. and many other founding members of European Union (Germany, France, Belgium), a break from the traditional Italian foreign policy. Italy, with Berlusconi in office, became a substantial ally to the United States of America in 2003 as Berlusconi supported the American/British-led Iraq War to oust the regime of Saddam Hussein. Berlusconi, in his meetings with United Nations Secretary-General Kofi Annan and U.S. President George W. Bush, said that he pushed for "a clear turnaround in the Iraqi situation" and for a quick hand-over of sovereignty to the government chosen by the U.N. Italy has some 2,700 troops deployed in Southern Iraq, the third largest contingent there after the American and British forces. The government confirms the agenda to reduce taxes and simplify the taxation system for both privates and enterprises (Berlusconi himself engaged personally during his electoral campaign). The opposition claims these programs are not realistic in the present economic trend. The EU Commission also pushes for a strict budget control, to meet the European mandatory standards. It must be noted the Italian State has historically a large debt (at the present time 106% of GDP) whose cost heavily burdens the annual budgets. A key point of the government program is the planned reform of the Constitution, an issue the coalition parties themselves initially had significantly different opinions about, with Lega Nord insisting on the federal reform (devolution of more power to the Regions) as the condition itself for remaining in the coalition; Alleanza Nazionale pushing for the so-called "strong premiership" (more powers to the executive), meant as a counterweight to the federal reform, to preserve the State unity; UDC asking for an electoral law not damaging small parties (more proportional) and being generally more willing to find a compromise with the moderate wing of the opposition. Difficulties in arranging a mediation caused some internal unrest in the Berlusconi government in 2003, but then they were mostly overcome and the law (comprising power devolution to the regions, Federal Senate, "strong premiership" and to be complemented with a new electoral law) was passed by the Senate in April 2004; it was slightly modified by the Chamber of Deputies in October 2004,and again on October 2005 and has finally been approved by the Senate on November 16, 2005 by 170 to 132 votes (and three abstentations). The opposition Union coalition is currently trying to amass 500,000 signatures in order to call a referendum in which they are "confident" that the "Italian people will reject it." Silvio Berlusconi meeting with Rick Perry, the Governor of TexasLegislative actionsBerlusconi's government passed many pieces of legislation, among which:
Also, well-known (because regulating aspects of every-day life) legislative acts were:
In a controversial move, the Berlusconi government also passed a new media reform legislation. Among other things, such legislation increased the maximum limit on an individual's share of the media market, allowing Berlusconi to retain control of his three national TV channels. The legislation also enabled the roll-out of digital television and internet based publishing, and hence his government claimed it resolved the problem of conflict of interest and his media monopoly "by opening up more channels". The law was initially vetoed by the President of the Republic, Carlo Azeglio Ciampi, on charges of being anti-constitutional, but it was then forced into law by the Parliament. A less known law made the so called "Articolo 41 bis" punitive jail regime for mafia leaders a permanent provision. Under previous law, it had to be confirmed every two years. The new pensions' law, issued on July 2004, raised the minimum age for retirement and added incentives for delayed retirement. Berlusconi has forced through the Parliament an overall constitutional reform to deepen the current federal form of the State and strengthen the power of the Prime Minister. This reform is disputed, because it has been imposed only by repressing the former separatist party Lega Nord, and without an adequate sharing with the opposition. Many experts of constitutional law think it is fraught with potential disfunctionalities. As of January 2006, the reform has been approved by the Parliament and a referendum called by the opposition is pending. In October 2005, Berlusconi forced a reform of electoral law. The First Pass the Post system is abolished, even if it was voted by the people in the referendum of 1993 and even if a referendum to strengthen the system failed because the needed quorum was not reached in 1999 for a few voters. Other pieces of legislation included:
In the last few days of the term, his parliament majority is approving many controversial laws, sometimes hiding one measure into a totally unrelated law. E.g. a bill about the Winter Olympics also included controversial provisions tightening penalties for drugs use and peddling. One of the last bills was a penal code reform forbidding prosecutors to appeal against absolution sentences (defendants can still appeal, though). This law wasn't signed by President Carlo Azeglio Ciampi so it will have to go to both houses of parliament again. Statements about MussoliniOn one occasion, Berlusconi claimed that Benito Mussolini had been the greatest statesman in Italian history. On another occasion, Berlusconi stated that "Benito Mussolini's regime hadn't killed a single person" and that Mussolini "just used to send opposers on holiday", thus apparently denying or dismissing a long series of fascist crimes, from the murder of Giacomo Matteotti to the infamous fascist concentration camps (Rab, Gonars, etc). Berlusconi later claimed that he did not mean to white-wash Mussolini, that he only reacted to a comparison, which he felt unfair, between the fascist dictator and Saddam Hussein. Among the members of parliament elected with him is Alessandra Mussolini, grand daughter of Benito. Even when she left his coalition, he tempted in all ways to keep her in it. Arguments for Illegal JobsIn December 2002, Berlusconi astonished observers when he suggested that laid-off FIAT workers should take illegal non-tax-paying jobs to make ends meet.[7] The EconomistOne of Berlusconi's strongest critics in the media outside Italy is the British weekly The Economist (nicknamed by Berlusconi "The Ecommunist"). The war of words between Berlusconi and the Economist has been infamous and widely reported, with Berlusconi taking the publication to court in Rome and The Economist publishing open letters against him [8]. In any event, according to The Economist, Berlusconi, in his position as prime minister of Italy, now has effective control of 90% of all national television broadcasting. [9] This figure includes stations he owns directly as well as those he has indirect control of through his position as Prime Minister and his ability to influence the choice of the management bodies of these stations. Influence on the MediaBerlusconi's extensive control of the media has been linked to claims that Italy's media shows limited freedom of expression. The Freedom of the Press 2004 Global Survey, an annual study issued by the American organization Freedom House, downgraded Italy's ranking from 'Free' to 'Partly Free' [10] on the basis of Berlusconi's influence over RAI, a ranking which, in "Western Europe" was shared only with Turkey (2005). Reporters Without Borders states that in 2004, "The conflict of interests involving prime minister Silvio Berlusconi and his vast media empire was still not resolved and continued to threaten news diversity".[11] In April 2004, the International Federation of Journalists joined the criticism, objecting to the passage of a law vetoed by Carlo Azeglio Ciampi in 2003, which critics believe is designed to protect Berlusconi's alleged 90% control of national media. [12] Berlusconi's influence over RAI became evident when in Sofia, Bulgaria he expressed his views on the journalists Enzo Biagi, Michele Santoro [13], and comedian Daniele Luttazzi after his satiric behaviour and his interview with journalist Marco Travaglio. The four have never appeared in any TV shows since then. Left-wing politicians and media refer to this episode as the Sofia Diktat. The TV broadcasting of a satirical program called RAIOT was censored in November 2003 after the comedienne, Sabina Guzzanti, made outspoken criticism of the Berlusconi media empire [14]. Mediaset, one of Berlusconi's companies, sued the Italian state broadcasting company RAI because of the Guzzanti show asking for 20 million Euros for "damages" and from November 2003 she was forced to appear only in theatres around Italy. In response to such claims, Mediaset, Berlusconi's television group, has stated that it uses the same criteria as the public (state-owned) television RAI in assigning a proper visibility to all the most important political parties and movements (the so-called 'Par Condicio'). It is also true that while the distribution of newspapers in Italy is lower than most other European countries (100 copies per 1000 individuals compared to 500 per 1000 in Scandinavian countries [15]), the majority of national press, which includes the three largest Italian printed dailies, La Repubblica, Il Corriere della Sera and La Stampa, tends to report independently of the Berlusconi government or (in the case of La Repubblica, among the three major newspapers cited above) to be very openly critical of it. Yet the resignations of the director of Corriere della Sera, Ferruccio de Bortoli, were seen as a grasp for more media control from the government. In fact the FNSI, the Trade Union for Italian Journalists, organized a three day long strike to show support to the former director of the newspaper. Conflicts of InterestsThe conflict-of-interest issues can be better understood in the context of the structure of control of the state media. The law delegated the presidents of the Chamber and Deputies to elect the president of RAI and the board of directors. In practice the decision is a political one, which generally results in some opposition representatives becoming directors, but with a majority in the hands of the government candidates; typical numbers used to be two directors and the president for the parliamentary majority, and two directors for the opposition. There is also a parliamentary supervisory commission, where the president is customarily a member of the opposition. During the Baldassarre presidency of RAI, the two opposition directors and the one closer to UDC left for internal disagreements, usually centered on censorship issues. RAI continued to be run by a two-man team (mockingly nicknamed by the opposition i giapponesi, "the Japanese" after the Japanese soldiers that kept fighting in the Pacific ocean after the end of World War II). Controversy concerning Berlusconi's conflicts of interest are normally centered around the use of his media and marketing power for political gain; however, there is also controversy regarding financial gains. When RAI was being run by a 2-man team appointed by the presidents of the Chamber of Deputies and the Senate (both in Berlusconi's coalition), the state broadcaster lost a significant market share to the rival Mediaset group, owned and run by the Berlusconi family, which has led to large personal gain. Berlusconi has many financial interests, and it is inevitable that a lot of legislation can have a direct financial impact on his fortune. His government has passed some laws that have shortened statutory terms for tax fraud. Berlusconi responded to critics by saying that he would not take advantage of these himself, but later he did. Critics claim that this situation indicates that laws about conflict of interest and anti-trust are in practice completely ineffective. Berlusconi himself claims to have resolved his conflict of interest: for example, he cites the fact that he is neither longer president of Mediaset, nor 100% owner. Sense of HumourHis sense of humour is perceived to be somewhat coarse, and could be thought to be purposely targeted at the average Italian, if Berlusconi had not been a known figure already before entering politics. On April 4 2000, from his electoral ship, he tells a controversial joke about AIDS. In February 2002, at a European Union summit of foreign ministers, Berlusconi, present since the replacement of his previous foreign minister, Renato Ruggiero, had not yet been appointed, made a vulgar gesture (the "corna") behind the head of the Spanish foreign minister, Josep Piqué, indicating he (Piqué) was a cuckold, exactly at the time of the taking of the official pictures. This is a common joke among Italian pre-teens, and many felt it was utterly out of place in an international meeting. He later explained that he "was joking", and he meant to create a relaxed climate, that this sort of meeting were meant to "create friendship, cordiality, simpatia and kind relationships" between the participants, and that he wanted to amuse a small group of Boy Scout bystanders. [16] On July 2, 2003, one day after taking over the rotating presidency of the EU Council of Ministers, he was heavily criticised by the German Member of the European Parliament Martin Schulz (from the SPD) because of his domestic policy. Berlusconi replied: Even though Berlusconi insisted that he was only "joking", his comparisons with the Nazis caused a brief diplomatic rift between Italy and Germany. In mid-May 2005, while opening the European Food Safety Authority in Parma (after the location had previously been preferred over one in Finland and Berlusconi had accused Finns of "not knowing what prosciutto is"), Berlusconi claimed that he had to "blow away the dust from my playboy (in English) arts" with the Finnish president, Tarja Halonen, to convince her to locate the EFSA in Parma. This caused criticism from both Italy and Finland, with the Italian ambassador in Finland being called by the Finnish foreign minister. [17]. Berlusconi later 'retracted' the comment by saying that anyone who had seen a picture of Halonen must have been aware that he had been joking. Before that, speaking to a group of Wall Street traders he listed a series of reasons to invest in Italy, the first of them being that "we have the most beautiful secretaries in the world". This resulted in an uproar back home, where for a day female deputies in Parliament took part in a cross-party protest. Sexist jokes are considered bad taste in Nordic countries, but are part of a macho image in Italy, and are therefore more accepted, though far from classy. Legal investigations of BerlusconiDilatory tacticsSilvio Berlusconi undoubtedly has a rather long record of judicial trials, as several crimes have been alleged to him or his firms (see also the following subsection on Berlusconi's trials), including false accounting, tax fraud, corruption and bribery of police officers and judges. Some of Berlusconi's close collaborators, friends and firm managers have been found guilty of related crimes, notably his younger brother, Paolo, who in 2002 accepted to pay 52 million euros as a plea bargain to local authorities for various charges including corruption and undue appropriation17. However, no definitive conviction sentence has ever been issued on Silvio Berlusconi himself for any of the trials which have concluded so far; in some cases he has been fully acquitted of the alleged charges, in others he has been acquitted with dubitative formula (not proven), or he was acquitted because the statute of limitations expired before a definitive sentence could be issued; in one case a previously granted amnesty extinguished the crime (perjury) before the sentence came into effect. The Italian legal system allows the statute of limitations to continue to run during the course of the trial. Consequently, the dilatory tactics adopted by Berlusconi's attorneys (including repeated motions for change of venue) served to nullify the pending charges. Member of Propaganda Due masonry lodgeSome of the suspects on Berlusconi's person arise from real or perceived blank spots in his past. Notably, in 1981 a scandal arose on the discovery by the police of Licio Gelli's secret freemasonry lodge (Propaganda Due, or P2) aiming to move the Italian political system in an authoritarian direction to oppose communism. A list of names was found of adherents of P2, which included members of the secret services and some prominent personalities from the political, industrial, military and press elite, among which Silvio Berlusconi, who was just starting to gain popularity as the founder and owner of "Canale 5" TV network. The P2 lodge was dissolved by the Italian parliament in December 1981 and a law was passed declaring similar organizations illegal, but no specific crimes were alleged to individual members of P2. Berlusconi later (1989) sued for libel three journalists who had written an article hinting at his involvement in financial crimes and in this occasion he declared in court that he had joined the P2 lodge "only a very short time before the scandal broke" and "he had not even paid the entry fee". Such statements, however, conflicted with the findings of the parliamentary commission appointed to investigate the lodge's activity, with material evidence, and even with previous testimony of Berlusconi, all of which showing that he had actually been a member of P2 since 1978 and had indeed paid a 100,000 Italian liras entry fee. Because of this a court of appeal convicted him for perjury in 1990, but the crime was extinguished by the previous 1989 amnesty. Entrepreneurial career, Bettino Craxi & MafiaBerlusconi's career as an entrepreneur is also often questioned by his detractors. The allegations made against him generally include suspects about the extremely fast increase of his activity as a construction entrepreneur in years 1961-63, hinting at the possibility that in those years he received money from unknown and possibly illegal sources. These accusations are regarded by Berlusconi and his supporters as empty slander, trying to undermine Berlusconi's reputation of a self-made man. Frequently cited by opponents are also events dating to the 1980s, including supposed "favor exchanges" between Berlusconi and the former prime minister Bettino Craxi, indicted in 1990-91 for various corruption charges; and even possible connections to the Italian Mafia, the latter accusations arising mostly from the above mentioned hiring of Vittorio Mangano4. Berlusconi acknowledges a personal friendship only to Craxi, and of course denies any ties to the Mafia. Heated debate on this issue was recently (2004) triggered again when Marcello Dell'Utri, the manager (later managing director) of Berlusconi`s publishing company Publitalia 80 and a Forza Italia senator and long time friend of Berlusconi, was sentenced to 9 years by the Palermo court on charge of "external association to the Mafia" 5, a sentence on which Berlusconi refused to comment. On some occasions, which raised a strong upheaval in the Italian political opposition, laws passed by the Berlusconi administration have effectively delayed ongoing trials on him, allowing the statute of limitations to expire, or stopped them entirely. Relevant examples are the law reducing punishment for all cases of false accounting; the new law on international rogatories, which made his Swiss bank records unusable in court against him 6; the law on legitimate suspicion, which allowed defendants to request their cases to be moved to another court if they believe that the local judges are biased against them 7,8; and most importantly the lodo Maccanico law, passed in June 2003, which granted the highest five state officers, including the Prime Minister, immunity from prosecution while in office2. This law froze Berlusconi's position in the SME-Ariosto trial in which he was accused of having corrupted judges in previous legal rulings regarding his partecipation in the public auction of the state-owned food company SME in the 1980s. However, the trial was not frozen for other defendants, and the former lawyer of Berlusconi's main firm (Fininvest) and former Italian defence minister, Cesare Previti, was sentenced to 5 years although the crime was reduced from corruption of judges to simple corruption 9,10. In January 2004 the Lodo Maccanico was nullified by the Constitutional court as it was ruled to be in conflict with the Italian constitution. Subsequently Berlusconi has declared his intent to re-introduce the law using the correct procedure for constitutional modification. Because of these legislative acts, political opponents accuse Berlusconi of passing ad personam laws, to protect himself from legal charges; Berlusconi and his allies, on the other hand, maintain that such laws are consistent with everyone's right to a rapid and just trial, and with the principle of presumption of innocence (garantismo); furthermore, they claim that Berlusconi is subject to a judiciary persecution, a political witch hunt orchestrated by politicized (left-wing) judges 11. For such reasons, Berlusconi and his government have an ongoing quarrel with the Italian judiciary, which reached its peak in 2003 when Berlusconi commented to a foreign journalist that judges are "mentally disturbed" and "anthropologically different from the rest of the human race", remarks that he later claimed he meant to be directed to specific judges only, and of a humorous nature12. More seriously, the Berlusconi administration has long been planning a judiciary reform intended to limit the arbitrariness allowed to the judges in their decisions (for example by introducing civil liability on the consequences of their sentences), but which, according to its critics, will instead limit the magistrature's independence, by de facto subjecting the judiciary to the executive's control. This reform has met almost unanimous dissent from the Italian judges 13,14 and, after three years of debate and struggle, was passed by the Italian parliament in December 2004, but was immediately vetoed by the Italian President, Carlo Azeglio Ciampi 15, who said some of the passed laws were "clearly unconstitutional". Presently (February 2005) the law is in process of being re-examined by the parliament, taking into account the President's objections on its constitutionality. Berlusconi has also been indicted in Spain for charges of tax fraud and violation of anti-trust laws regarding the private TV network Telecinco, but his status as a member of the European Parliament allowed him to gain immunity from prosecution 16. TrialsPersonalityBerlusconi and the 1953 page about Stalin's death.Berlusconi is admired by some Italians for his tremendous success as a businessman; they praise what they consider his innovative ideas and entrepreneurial spirit. His detractors, however, point out that he tends to centralize power upon his person, and this is reflected in the organization of the Forza Italia party. Furthermore, critics often attribute a substantial part of his financial successes to his closeness to politicians that have been later exposed as corrupt (as Bettino Craxi) or even contiguous to the Mafia. Another criticism voiced is that he over-reacts to attacks from political opponents. Just about everyone agrees that he cares a great deal about his appearance; in January, 2004, after intense speculation in the media, he admitted he had a facelift [18]. Berlusconi always tries to maintain a gentle, agreeable character with whomever he is talking to. His opponents perceive this as hypocrisy, since he can also deliver strong speeches that at times border on hate, especially when talking about communists. He is known to tell jokes to create a relaxed atmosphere, and trying to make sure everybody enjoys himself in his presence. He is especially careful about talking in intelligible Italian, though with a light Milan accent, while some politicians prior to 1992 talked an incomprehensible jargon. References
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He is especially careful about talking in intelligible Italian, though with a light Milan accent, while some politicians prior to 1992 talked an incomprehensible jargon. [24]. He is known to tell jokes to create a relaxed atmosphere, and trying to make sure everybody enjoys himself in his presence. He has since plead guilty to five counts of wire fraud and one count of filing a false tax return related to embezzlement and theft from Wal-Mart while serving as a member of its board. His opponents perceive this as hypocrisy, since he can also deliver strong speeches that at times border on hate, especially when talking about communists. Former members of the board of directors of Wal-Mart include Hillary Clinton (1985-1992), who also worked for Wal-Mart as a lawyer, [22] and Tom Coughlin, who went on to be vice chairman [23]. Berlusconi always tries to maintain a gentle, agreeable character with whomever he is talking to. The presence of unions and the difficulty obtaining building permits are two possible reasons for this lack of success. Just about everyone agrees that he cares a great deal about his appearance; in January, 2004, after intense speculation in the media, he admitted he had a facelift [18]. In Germany, however, after eight years in the market, Wal-Mart's yearly revenue is still less than one-tenth of the leading retailer, EDEKA. Another criticism voiced is that he over-reacts to attacks from political opponents. ASDA in the United Kingdom is the largest of the international businesses by sales. Furthermore, critics often attribute a substantial part of his financial successes to his closeness to politicians that have been later exposed as corrupt (as Bettino Craxi) or even contiguous to the Mafia. Dollars):. His detractors, however, point out that he tends to centralize power upon his person, and this is reflected in the organization of the Forza Italia party. Current store counts and revenue for Fiscal Year Ending January 31, 2005 (revenue amounts in U.S. Berlusconi is admired by some Italians for his tremendous success as a businessman; they praise what they consider his innovative ideas and entrepreneurial spirit. Wal-Mart operates 5 major retail formats under 3 retail divisions:. Berlusconi has also been indicted in Spain for charges of tax fraud and violation of anti-trust laws regarding the private TV network Telecinco, but his status as a member of the European Parliament allowed him to gain immunity from prosecution 16. He believes that Wal-Mart is merely a symbol of capitalism and success that leftists attack in order to associate capitalism with "exploitation" and "unfairness" to further their own big government/socialists objectives. Presently (February 2005) the law is in process of being re-examined by the parliament, taking into account the President's objections on its constitutionality. He compares this criticism to the same attacks upon Hummer SUVs while ignoring the issues with many other gas guzzling competitors like old cars the poor could only afford. This reform has met almost unanimous dissent from the Italian judges 13,14 and, after three years of debate and struggle, was passed by the Italian parliament in December 2004, but was immediately vetoed by the Italian President, Carlo Azeglio Ciampi 15, who said some of the passed laws were "clearly unconstitutional". According to Jay Nordlinger of the National Review, criticism of Wal-Mart is more about what Wal-Mart represents; the sucess of capitalist enterprise and how Wal-Mart is the largest retail store in the world rather than what it actually does. More seriously, the Berlusconi administration has long been planning a judiciary reform intended to limit the arbitrariness allowed to the judges in their decisions (for example by introducing civil liability on the consequences of their sentences), but which, according to its critics, will instead limit the magistrature's independence, by de facto subjecting the judiciary to the executive's control. Specific areas of controversy include the company's product selection; treatment of suppliers, competitors, and employees; impact on local communities, and effects on world trade and globalization. For such reasons, Berlusconi and his government have an ongoing quarrel with the Italian judiciary, which reached its peak in 2003 when Berlusconi commented to a foreign journalist that judges are "mentally disturbed" and "anthropologically different from the rest of the human race", remarks that he later claimed he meant to be directed to specific judges only, and of a humorous nature12. Some praise Wal-Mart for benefiting consumers, while other criticise it for being harmful to employees, the community, the economy, and the environment. Because of these legislative acts, political opponents accuse Berlusconi of passing ad personam laws, to protect himself from legal charges; Berlusconi and his allies, on the other hand, maintain that such laws are consistent with everyone's right to a rapid and just trial, and with the principle of presumption of innocence (garantismo); furthermore, they claim that Berlusconi is subject to a judiciary persecution, a political witch hunt orchestrated by politicized (left-wing) judges 11. [20]. Subsequently Berlusconi has declared his intent to re-introduce the law using the correct procedure for constitutional modification. [19] And, this savings has the largest effect on the poor since the average Wal-Mart customer earns $35,000 a year, compared with $50,000 at Target and $74,000 at Costco. In January 2004 the Lodo Maccanico was nullified by the Constitutional court as it was ruled to be in conflict with the Italian constitution. However, that $4.7 billion is overwhelmingly offset by the $263 billion it has saved Americans from spending from 1985 to 2004, ($2,329 per houshold) according to a Global Insight study. However, the trial was not frozen for other defendants, and the former lawyer of Berlusconi's main firm (Fininvest) and former Italian defence minister, Cesare Previti, was sentenced to 5 years although the crime was reduced from corruption of judges to simple corruption 9,10. The efficiencies created 210,000 jobs that would not otherwise exist, but at the same time reduced take-home pay for all retail workers (including the company’s competitors) by $4.7 billion. This law froze Berlusconi's position in the SME-Ariosto trial in which he was accused of having corrupted judges in previous legal rulings regarding his partecipation in the public auction of the state-owned food company SME in the 1980s. Wal-Mart increased net consumer purchasing power by $118 billion in 2004. Relevant examples are the law reducing punishment for all cases of false accounting; the new law on international rogatories, which made his Swiss bank records unusable in court against him 6; the law on legitimate suspicion, which allowed defendants to request their cases to be moved to another court if they believe that the local judges are biased against them 7,8; and most importantly the lodo Maccanico law, passed in June 2003, which granted the highest five state officers, including the Prime Minister, immunity from prosecution while in office2. Additional findings from the Global Insight study include: Wal-Mart increased the US economy's overall productivity by three-quarters of a percent by highly efficient distribution systems and pressure on suppliers to be more efficient. On some occasions, which raised a strong upheaval in the Italian political opposition, laws passed by the Berlusconi administration have effectively delayed ongoing trials on him, allowing the statute of limitations to expire, or stopped them entirely. The study indicates that "nominal wages are 2.2% lower, but given that consumer prices are 3.1% lower, real disposable income is 0.9% higher than it would have been in a world without Wal-Mart." (Global Insight Study). Heated debate on this issue was recently (2004) triggered again when Marcello Dell'Utri, the manager (later managing director) of Berlusconi`s publishing company Publitalia 80 and a Forza Italia senator and long time friend of Berlusconi, was sentenced to 9 years by the Palermo court on charge of "external association to the Mafia" 5, a sentence on which Berlusconi refused to comment. Also in that time period, it is responsible for the creation of 210,000 net jobs for the economy. Berlusconi acknowledges a personal friendship only to Craxi, and of course denies any ties to the Mafia. From 1985-2004, Wal-Mart "can be associated with a cumulative decline of 9.1% in food-at-home prices, a 4.2% decline in commodities (goods) prices, and a 3.1% decline in overall consumer prices" and, that this has saved consumers $263 billion in that time frame ($2329 per household). Frequently cited by opponents are also events dating to the 1980s, including supposed "favor exchanges" between Berlusconi and the former prime minister Bettino Craxi, indicted in 1990-91 for various corruption charges; and even possible connections to the Italian Mafia, the latter accusations arising mostly from the above mentioned hiring of Vittorio Mangano4. economy (Several notable economists oversaw the study, including both political conservatives and liberals [18]). These accusations are regarded by Berlusconi and his supporters as empty slander, trying to undermine Berlusconi's reputation of a self-made man. A 2005 study by Global Insight, the world's largest economics organization, that was commission by Wal-mart found that the company has had a positive net economic impact on the U.S. The allegations made against him generally include suspects about the extremely fast increase of his activity as a construction entrepreneur in years 1961-63, hinting at the possibility that in those years he received money from unknown and possibly illegal sources. In 2004, the University of California, Berkeley published a study which asserted that Wal-Mart's low wages and benefits resulted in an increased burden on the social safety net, costing California taxpayers $86 million.[17]. Berlusconi's career as an entrepreneur is also often questioned by his detractors. Basker's study did not distinguish between low-paying and high-paying jobs. Because of this a court of appeal convicted him for perjury in 1990, but the crime was extinguished by the previous 1989 amnesty. Basker concluded that the net change in the number of jobs was not significant. Such statements, however, conflicted with the findings of the parliamentary commission appointed to investigate the lodge's activity, with material evidence, and even with previous testimony of Berlusconi, all of which showing that he had actually been a member of P2 since 1978 and had indeed paid a 100,000 Italian liras entry fee. Basker found an average decrease of 30 retail jobs in neighbouring counties and 25 wholesale jobs in the entered county. Berlusconi later (1989) sued for libel three journalists who had written an article hinting at his involvement in financial crimes and in this occasion he declared in court that he had joined the P2 lodge "only a very short time before the scandal broke" and "he had not even paid the entry fee". Half of this increase disappeared as other retail establishments closed over a five-year period. The P2 lodge was dissolved by the Italian parliament in December 1981 and a law was passed declaring similar organizations illegal, but no specific crimes were alleged to individual members of P2. Basker found that Wal-Mart's entry into a county increased net retail employment in that county by 100 jobs in the short term. A list of names was found of adherents of P2, which included members of the secret services and some prominent personalities from the political, industrial, military and press elite, among which Silvio Berlusconi, who was just starting to gain popularity as the founder and owner of "Canale 5" TV network. A 2002 study[16] by Emek Basker of the University of Missouri examined the impact of Wal-Mart on local employment. Notably, in 1981 a scandal arose on the discovery by the police of Licio Gelli's secret freemasonry lodge (Propaganda Due, or P2) aiming to move the Italian political system in an authoritarian direction to oppose communism. The next largest employer employed the parents of less than 800 children in the program.[15]. Some of the suspects on Berlusconi's person arise from real or perceived blank spots in his past. More than 10,000 children who qualified for the program had parents working at Wal-Mart. Consequently, the dilatory tactics adopted by Berlusconi's attorneys (including repeated motions for change of venue) served to nullify the pending charges. In 2002, the state of Georgia's survey of children in the state's subsidized health care system, PeachCare, found that Wal-Mart employed more of the parents of these children than any other employer. The Italian legal system allows the statute of limitations to continue to run during the course of the trial. Dean found that point out that though Wal-Mart openings cause some small businesses to close by offering lower prices, it also creates opportunities for other small businesses and that as a result, "the process of creative destruction unleashed by Wal-Mart has no statistically significant impact on the overall size of the small business sector in the United States" (the researchers also claim that the Stone study is flawed) [14]. However, no definitive conviction sentence has ever been issued on Silvio Berlusconi himself for any of the trials which have concluded so far; in some cases he has been fully acquitted of the alleged charges, in others he has been acquitted with dubitative formula (not proven), or he was acquitted because the statute of limitations expired before a definitive sentence could be issued; in one case a previously granted amnesty extinguished the crime (perjury) before the sentence came into effect. Sobel and Andrea M. Some of Berlusconi's close collaborators, friends and firm managers have been found guilty of related crimes, notably his younger brother, Paolo, who in 2002 accepted to pay 52 million euros as a plea bargain to local authorities for various charges including corruption and undue appropriation17. In 1997, Stone found that small towns "lose up to 47 percent of their retail trade after 10 years of Wal-Mart stores nearby."[12] In [2003], Stone collaborated with collaborated with Georgeanne Artz, also of Iowa State University and Albert Myles of Mississippi State University to show that there "are both positive and negative impacts on existing stores in the area where the new supercenter locates."[13] A study by Russell S. Silvio Berlusconi undoubtedly has a rather long record of judicial trials, as several crimes have been alleged to him or his firms (see also the following subsection on Berlusconi's trials), including false accounting, tax fraud, corruption and bribery of police officers and judges. Stone of Iowa State University has published several studies on Wal-Mart. Sexist jokes are considered bad taste in Nordic countries, but are part of a macho image in Italy, and are therefore more accepted, though far from classy. Kenneth E. This resulted in an uproar back home, where for a day female deputies in Parliament took part in a cross-party protest. Several studies have been conducted to determined the nature and extent of this effect. Before that, speaking to a group of Wall Street traders he listed a series of reasons to invest in Italy, the first of them being that "we have the most beautiful secretaries in the world". As Wal-Mart is an enormously large business, it has a significant impact on economies, especially in the United States. Berlusconi later 'retracted' the comment by saying that anyone who had seen a picture of Halonen must have been aware that he had been joking. Deaver who formerly worked on behalf of Ronald Reagan, Leslie Dach who worked on behalf of Bill Clinton, and Robert McAdam who worked on behalf of the Tobacco Institute [11]. [17]. Operatives hired include Michael K. This caused criticism from both Italy and Finland, with the Italian ambassador in Finland being called by the Finnish foreign minister. Edelman has set up an internal "war room", a rapid-response public relations team, staffed with high-profile political operatives to respond to negative media attention. In mid-May 2005, while opening the European Food Safety Authority in Parma (after the location had previously been preferred over one in Finland and Berlusconi had accused Finns of "not knowing what prosciutto is"), Berlusconi claimed that he had to "blow away the dust from my playboy (in English) arts" with the Finnish president, Tarja Halonen, to convince her to locate the EFSA in Parma. It was reported in the New York Times on November 1, 2005 that in response to increased criticism the public relations firm Edelman had been retained. Even though Berlusconi insisted that he was only "joking", his comparisons with the Nazis caused a brief diplomatic rift between Italy and Germany. In 2005, Wal-Mart officials embarked on a public relations campaign to counter some of the criticism it receives, through its public relations website as well as through television commercials which show employees who have had a medical emergency and have been sent by Wal-Mart to the Mayo Clinic. Berlusconi replied:. Different explanations have been offered for this success:. On July 2, 2003, one day after taking over the rotating presidency of the EU Council of Ministers, he was heavily criticised by the German Member of the European Parliament Martin Schulz (from the SPD) because of his domestic policy. Its stock has dropped more than 20% since then, closing under $50 in August 2005. [16]. Since then its stock has climbed from 5 cents (split adjusted) to a high of $63 in March 2002. He later explained that he "was joking", and he meant to create a relaxed climate, that this sort of meeting were meant to "create friendship, cordiality, simpatia and kind relationships" between the participants, and that he wanted to amuse a small group of Boy Scout bystanders. Wal-Mart went public in 1975. This is a common joke among Italian pre-teens, and many felt it was utterly out of place in an international meeting. Sam Walton's family's holdings in Wal-Mart if combined would comprise the nation's largest fortune; at $100 billion combined they are significantly ahead of Bill Gates. In February 2002, at a European Union summit of foreign ministers, Berlusconi, present since the replacement of his previous foreign minister, Renato Ruggiero, had not yet been appointed, made a vulgar gesture (the "corna") behind the head of the Spanish foreign minister, Josep Piqué, indicating he (Piqué) was a cuckold, exactly at the time of the taking of the official pictures. Wal-Mart also does 20 percent of the retail toy business. On April 4 2000, from his electoral ship, he tells a controversial joke about AIDS. $51 billion). His sense of humour is perceived to be somewhat coarse, and could be thought to be purposely targeted at the average Italian, if Berlusconi had not been a known figure already before entering politics. Wal-Mart is now the largest grocery chain in the U.S., with 14 percent of all grocery sales -- nearly twice the sales of Kroger ($95 billion vs. Berlusconi himself claims to have resolved his conflict of interest: for example, he cites the fact that he is neither longer president of Mediaset, nor 100% owner. workers.[5] According to Wal-Mart's website, Wal-Mart provides insurance to more than 1 million people.[6]. Critics claim that this situation indicates that laws about conflict of interest and anti-trust are in practice completely ineffective. According to an October 2005 article in BusinessWeek, Walmart's health insurance covers 44% or approximately 572,000 of its 1.3 million U.S. Berlusconi responded to critics by saying that he would not take advantage of these himself, but later he did. At some Sam's Club these employees inspect the contents of the shopping carts of exiting customers. His government has passed some laws that have shortened statutory terms for tax fraud. All Wal-Mart stores in the United States have employees referred to as "People Greeters." They welcome people to the store and help prevent shoplifting. Berlusconi has many financial interests, and it is inevitable that a lot of legislation can have a direct financial impact on his fortune. Wal-Mart refers to its employees as "associates," and encourages managers to think of themselves as "servant leaders." Each shift at every store, club, and distribution center (theoretically) starts with a store-wide meeting where managers discuss with hourly employees daily sales figures, company news, and goals for the day. When RAI was being run by a 2-man team appointed by the presidents of the Chamber of Deputies and the Senate (both in Berlusconi's coalition), the state broadcaster lost a significant market share to the rival Mediaset group, owned and run by the Berlusconi family, which has led to large personal gain. However, this proposal was rejected by the city councillors [4] on June 28, 2005 for several reasons including worry over the possible negative impact to small businesses and a potential increase in traffic as customers drive longer distances to go shopping. Controversy concerning Berlusconi's conflicts of interest are normally centered around the use of his media and marketing power for political gain; however, there is also controversy regarding financial gains. This design, too, included wind turbines, geothermal heating and collecting rainwater. RAI continued to be run by a two-man team (mockingly nicknamed by the opposition i giapponesi, "the Japanese" after the Japanese soldiers that kept fighting in the Pacific ocean after the end of World War II). An environmentally-friendly design for a Wal-Mart in Vancouver, BC, Canada was proposed. During the Baldassarre presidency of RAI, the two opposition directors and the one closer to UDC left for internal disagreements, usually centered on censorship issues. Critics, such as the Institute for Local Self-reliance [3], while acknowledging that the features in the new stores are an improvement, still contend that Wal-Mart practices increase driving, and that it has a poor record of locating stores on environmentally sensitive sites, especially wetlands. There is also a parliamentary supervisory commission, where the president is customarily a member of the opposition. The buildings also include many other energy and cost-saving technologies. In practice the decision is a political one, which generally results in some opposition representatives becoming directors, but with a majority in the hands of the government candidates; typical numbers used to be two directors and the president for the parliamentary majority, and two directors for the opposition. Recently, Wal-Mart has designed two experimental stores [2], one in McKinney, Texas, the other in Aurora, Colorado, which feature wind turbines, photovoltaic solar panels, and biofuel-capable boilers. The law delegated the presidents of the Chamber and Deputies to elect the president of RAI and the board of directors. The WFF has also donated to advocacy groups promoting school privatization, such as a $3 million donation in 2003 to the Knowledge Is Power Program. The conflict-of-interest issues can be better understood in the context of the structure of control of the state media. From 1998 through 2003, the WFF contributed $25,000 to the Heritage Foundation, $15,000 to the Cato Institute, $125,000 to the Hudson Institute, $155,000 to the Goldwater Institute, $70,000 to the National Right to Work Legal Defense Foundation, $300,000 to the Mackinac Center for Public Policy, $185,000 to the Pacific Research Institute for Public Policy, and $350,000 to the Evergreen Freedom Foundation. In fact the FNSI, the Trade Union for Italian Journalists, organized a three day long strike to show support to the former director of the newspaper. Also in 2004, Alice Walton donated $2.6 million to the Progress for America PAC, which supported the Swift Boat Veterans for Truth. Yet the resignations of the director of Corriere della Sera, Ferruccio de Bortoli, were seen as a grasp for more media control from the government. Walmart's company political action committee, the second largest corporate donor to the GOP, gave away $2.1 million in 2004, compared to $100,000 in 1994. It is also true that while the distribution of newspapers in Italy is lower than most other European countries (100 copies per 1000 individuals compared to 500 per 1000 in Scandinavian countries [15]), the majority of national press, which includes the three largest Italian printed dailies, La Repubblica, Il Corriere della Sera and La Stampa, tends to report independently of the Berlusconi government or (in the case of La Repubblica, among the three major newspapers cited above) to be very openly critical of it. The Walton Family Foundation (WFF) gave away $106.9 million in 2003, twice as much as in 2000. In response to such claims, Mediaset, Berlusconi's television group, has stated that it uses the same criteria as the public (state-owned) television RAI in assigning a proper visibility to all the most important political parties and movements (the so-called 'Par Condicio'). According to the November 21, 2005 issue of The Nation, recently both the Arkansas-based company and the Walton family have elevated their charitable giving. Mediaset, one of Berlusconi's companies, sued the Italian state broadcasting company RAI because of the Guzzanti show asking for 20 million Euros for "damages" and from November 2003 she was forced to appear only in theatres around Italy. About $1.5 million in emergency aid was given to displaced employees, and employees displaced by the storm were offered work at Wal-Mart locations elsewhere in the country. The TV broadcasting of a satirical program called RAIOT was censored in November 2003 after the comedienne, Sabina Guzzanti, made outspoken criticism of the Berlusconi media empire [14]. An emergency contact website was set up by Wal-Mart to help locate displaced persons, accessible by Internet and at every store in the country. Left-wing politicians and media refer to this episode as the Sofia Diktat. In addition, an estimated $3 million in merchandise was donated to victims in several states, and in some cases the corporation was able to provide supplies before the federal government. The four have never appeared in any TV shows since then. These donations made it the largest single corporate contributor. Berlusconi's influence over RAI became evident when in Sofia, Bulgaria he expressed his views on the journalists Enzo Biagi, Michele Santoro [13], and comedian Daniele Luttazzi after his satiric behaviour and his interview with journalist Marco Travaglio. After the 2005 Hurricane Katrina disaster on the United States Gulf Coast, Wal-Mart donated $2 million to the Salvation Army and the American Red Cross and $15 million to the Bush-Clinton Hurricane Katrina Fund for a total of $17 million. [12]. More than 90 percent of cash donations from Wal-Mart Stores and the Wal-Mart & SAM'S CLUB Foundation target local communities. Reporters Without Borders states that in 2004, "The conflict of interests involving prime minister Silvio Berlusconi and his vast media empire was still not resolved and continued to threaten news diversity".[11] In April 2004, the International Federation of Journalists joined the criticism, objecting to the passage of a law vetoed by Carlo Azeglio Ciampi in 2003, which critics believe is designed to protect Berlusconi's alleged 90% control of national media. The typical Supercenter channels $30,000 to $50,000 a year to local causes and events. The Freedom of the Press 2004 Global Survey, an annual study issued by the American organization Freedom House, downgraded Italy's ranking from 'Free' to 'Partly Free' [10] on the basis of Berlusconi's influence over RAI, a ranking which, in "Western Europe" was shared only with Turkey (2005). Unlike most corporate donors, Wal-Mart does not provide a figure for its corporate contributions; instead Wal-Mart's reported contributions include those made by its customers in a larger aggregate figure. Berlusconi's extensive control of the media has been linked to claims that Italy's media shows limited freedom of expression. In 2004, cash donations to non-profit organizations by Wal-Mart, its employees, and its customers made through Wal-Mart, the Wal-Mart Foundation and the Sam's Club Foundation totaled more than US$170 million. [9] This figure includes stations he owns directly as well as those he has indirect control of through his position as Prime Minister and his ability to influence the choice of the management bodies of these stations. According to a New York Times story, it is seen by 130 million people a month, making it the fifth largest network in America, behind NBC, CBS, ABC and Fox. In any event, according to The Economist, Berlusconi, in his position as prime minister of Italy, now has effective control of 90% of all national television broadcasting. The Wal-Mart Television Network is an in-store network showing commercials for products sold in the stores, concert clips and music videos for recording artists products sold in the stores, trailers for upcoming movie releases, and news. The war of words between Berlusconi and the Economist has been infamous and widely reported, with Berlusconi taking the publication to court in Rome and The Economist publishing open letters against him [8]. By focusing on a small number of low-cost products, and siting their retail operations in extremely convenient locations (primarily very small towns which cannot support a Wal-Mart as well as low-income areas of larger metropolitan areas), retailers such as Family Dollar and Dollar General have successfully competed head-to-head with Wal-Mart for home consumer sales. One of Berlusconi's strongest critics in the media outside Italy is the British weekly The Economist (nicknamed by Berlusconi "The Ecommunist"). Due to Wal-Mart's success in selling consumer goods and its necessary focus on more expensive items (and larger population areas) to increase revenue, a niche has been carved out of Wal-Mart's dominance by several shrewd retail corporations [1]. In December 2002, Berlusconi astonished observers when he suggested that laid-off FIAT workers should take illegal non-tax-paying jobs to make ends meet.[7]. Chief competitors of Sam's Club are Costco, which is slightly larger than Sam's in terms of sales, as well as the smaller BJ's Wholesale Club chain operating mainly on the East Coast. Even when she left his coalition, he tempted in all ways to keep her in it. Wal-Mart's move into the grocery business has also positioned it against major grocery chains such as Kroger, Albertsons, Publix, Giant Eagle, Safeway and dozens of local grocery chains. Among the members of parliament elected with him is Alessandra Mussolini, grand daughter of Benito. Wal-Mart's chief competitors in the discount retail space nationally include Sears Holdings Corporation's Kmart chain and Target, Best Buy, along with many smaller regional chains such as Meijer in the midwest. Berlusconi later claimed that he did not mean to white-wash Mussolini, that he only reacted to a comparison, which he felt unfair, between the fascist dictator and Saddam Hussein. Wal-Mart stock is publicly traded on the New York Stock Exchange under the symbol WMT. On another occasion, Berlusconi stated that "Benito Mussolini's regime hadn't killed a single person" and that Mussolini "just used to send opposers on holiday", thus apparently denying or dismissing a long series of fascist crimes, from the murder of Giacomo Matteotti to the infamous fascist concentration camps (Rab, Gonars, etc). In 2003 McLane Company was sold to Berkshire Hathaway. On one occasion, Berlusconi claimed that Benito Mussolini had been the greatest statesman in Italian history. In 1990 Wal-Mart acquired The McLane Company, a foodservice distributor. This law wasn't signed by President Carlo Azeglio Ciampi so it will have to go to both houses of parliament again. In the past, Wal-Mart operated dot Discount Drugs, Bud's Discount City, Hypermart*USA, OneSource Nutrition Centers, and Save-Co Home Improvement stores. One of the last bills was a penal code reform forbidding prosecutors to appeal against absolution sentences (defendants can still appeal, though). This purchase has been approved by Seiyu Group shareholders and The Seiyu will be consolidated into Wal-Mart International in FYE 2006. a bill about the Winter Olympics also included controversial provisions tightening penalties for drugs use and peddling. in Japan, with a proposed US$597 million to increase its stake to 50%. E.g. In addition to its wholly-owned international operations, Wal-Mart owns a 42% stake in The Seiyu Co., Ltd. In the last few days of the term, his parliament majority is approving many controversial laws, sometimes hiding one measure into a totally unrelated law. Wal-Mart also operates the largest real estate company in the United States, with an entire division devoted to building new stores, selling old stores, and developing shopping centers around its stores. Other pieces of legislation included:. Internationally, Wal-Mart employs over 410,000 people (excluding Japan) for a company-wide total of 1.7 million employees. The First Pass the Post system is abolished, even if it was voted by the people in the referendum of 1993 and even if a referendum to strengthen the system failed because the needed quorum was not reached in 1999 for a few voters. Apart from retail locations, it operates 99 Distribution Centers and Transportation Offices in the United States. In October 2005, Berlusconi forced a reform of electoral law. Wal-Mart's corporate headquarters are located in Bentonville, Arkansas. As of January 2006, the reform has been approved by the Parliament and a referendum called by the opposition is pending. As of January 2005, Wal-Mart employed 1.3 million people in the United States. Many experts of constitutional law think it is fraught with potential disfunctionalities. Wal-Mart also operates Sam's Club—a "warehouse club" (similar to Costco and BJ's) that sells discounted bulk merchandise to due-paying members. This reform is disputed, because it has been imposed only by repressing the former separatist party Lega Nord, and without an adequate sharing with the opposition. Wal-Mart operates discount retail department stores selling a broad range of non-grocery products, though emphasis is now focused on the "Supercenters" which offer a full line of grocery items. Berlusconi has forced through the Parliament an overall constitutional reform to deepen the current federal form of the State and strengthen the power of the Prime Minister. . The new pensions' law, issued on July 2004, raised the minimum age for retirement and added incentives for delayed retirement. retail stores being spent at Wal-Mart. Under previous law, it had to be confirmed every two years. It holds an 8.9 percent retail store market share, with $8.90 out of every $100 spent in U.S. A less known law made the so called "Articolo 41 bis" punitive jail regime for mafia leaders a permanent provision. It is the largest private employer in the United States, Mexico and Canada. The law was initially vetoed by the President of the Republic, Carlo Azeglio Ciampi, on charges of being anti-constitutional, but it was then forced into law by the Parliament. For the fiscal year ending January 31, 2005, Wal-Mart reported net income of US $10.3 billion on US $285 billion of sales revenue (3.6% profit margin). The legislation also enabled the roll-out of digital television and internet based publishing, and hence his government claimed it resolved the problem of conflict of interest and his media monopoly "by opening up more channels". It is the largest retailer in the world and one of the largest companies in the world based on revenue; in 2004 it was the largest, but the recent rise in oil prices has taken at least one oil company past it. Among other things, such legislation increased the maximum limit on an individual's share of the media market, allowing Berlusconi to retain control of his three national TV channels. Wal-Mart Stores, Inc. (NYSE: WMT) was founded by Sam Walton in 1962. In a controversial move, the Berlusconi government also passed a new media reform legislation. Accessed January 11, 2006. Also, well-known (because regulating aspects of every-day life) legislative acts were:. ^ Wal-Mart giant can be tamed The Boston Globe, November 23, 2003. Berlusconi's government passed many pieces of legislation, among which:. 121; Can't Wal-Mart, a Retail Behemoth, Pay More? The New York Times, May 4, 2005. The opposition Union coalition is currently trying to amass 500,000 signatures in order to call a referendum in which they are "confident" that the "Italian people will reject it.". ^ See Palast, p. Difficulties in arranging a mediation caused some internal unrest in the Berlusconi government in 2003, but then they were mostly overcome and the law (comprising power devolution to the regions, Federal Senate, "strong premiership" and to be complemented with a new electoral law) was passed by the Senate in April 2004; it was slightly modified by the Chamber of Deputies in October 2004,and again on October 2005 and has finally been approved by the Senate on November 16, 2005 by 170 to 132 votes (and three abstentations). ^ Down and Out in Discount America, The Nation, January 3, 2005; Wal-Mart's Welfare Dependency, San Francisco Chronicle by Sally Lieber, November 7, 2003. A key point of the government program is the planned reform of the Constitution, an issue the coalition parties themselves initially had significantly different opinions about, with Lega Nord insisting on the federal reform (devolution of more power to the Regions) as the condition itself for remaining in the coalition; Alleanza Nazionale pushing for the so-called "strong premiership" (more powers to the executive), meant as a counterweight to the federal reform, to preserve the State unity; UDC asking for an electoral law not damaging small parties (more proportional) and being generally more willing to find a compromise with the moderate wing of the opposition. House of Representatives Representative George Miller, Senior Democrat, February 16, 2004; Wal-Marts Cost State, Study Says, San Francisco Chronicle, August 3, 2004. It must be noted the Italian State has historically a large debt (at the present time 106% of GDP) whose cost heavily burdens the annual budgets. ^ Everyday Low Wages: The Hidden Price We All Pay For Wal-Mart (pdf), A Report by the Democratic Staff of the Committee on Education and the Workforce U.S. The EU Commission also pushes for a strict budget control, to meet the European mandatory standards. ^ Wal-Mart public relations web page, section regarding Benefits (retreived May 25, 2005). The opposition claims these programs are not realistic in the present economic trend. ^ Retaliating first, Wal-Mart in Canada, The Economist, Feb 24th 2005; Ex-Wal-Mart Workers Win Battle Globe and Mail, Rhéal Séguin, September 17, 2005. The government confirms the agenda to reduce taxes and simplify the taxation system for both privates and enterprises (Berlusconi himself engaged personally during his electoral campaign). Coughlin Told Others Bogus Expenses Hid Plot Against Unions Retailer Disputes His Claim, Wall Street Journal, April 8, 2005. Italy has some 2,700 troops deployed in Southern Iraq, the third largest contingent there after the American and British forces. ^ Petty Cash A Wal-Mart Legend's Trail of Deceit Mr. Bush, said that he pushed for "a clear turnaround in the Iraqi situation" and for a quick hand-over of sovereignty to the government chosen by the U.N. 119-120; Chinese Workers Pay for Wal-Mart's Low Prices, Washington Post, February 8, 2004; [Wal-Mart faces sweat-shop lawsuit Wal-Mart faces sweat-shop lawsuit], Financial Times (London), September 14, 2005; Suit Says Wal-Mart Is Lax on Labor Abuses Overseas, New York Times, September 14, 2005; Workers Sue Wal-Mart Over Sweatshop Conditions, Reuters, September 13, 2005, Sweatshop Workers on Four Continents Sue Wal-Mart in California Court, Press Release, September 13, 2005; Human cost behind bargain shopping Dateline hidden camera investigation in Bangladesh, Dateline NBC, June 17, 2005. President George W. ISBN 0745318460., p. Berlusconi, in his meetings with United Nations Secretary-General Kofi Annan and U.S. The Best Democracy Money Can Buy: An Investigative Reporter Exposes the Truth About Globalization, Corporate Cons, and High-Finance Fraudsters, Pluto Press. Italy, with Berlusconi in office, became a substantial ally to the United States of America in 2003 as Berlusconi supported the American/British-led Iraq War to oust the regime of Saddam Hussein. ^ Palast, Greg (2002). and many other founding members of European Union (Germany, France, Belgium), a break from the traditional Italian foreign policy. ISBN 1585424226.. The Berlusconi government has had a strong tendency to support American foreign policies despite the policy divide between the U.S. The United States of Wal-Mart, Tarcher. The government, after introducing a controversial immigration law (the "Bossi-Fini", from the names of Lega Nord and Alleanza Nazionale leaders) is searching for the cooperation of both European and other Mediterranean countries to face the emergency of the large number of immigrants trying to reach Italian coasts on old and overloaded ferries and fishing boats, risking (and, often, losing) their life. Dicker, John (2005). [6] Even so, a number of measures have been taken, but the effects are controversial. ISBN 155369855X.. Berlusconi himself has shown some reluctance to pursue such policies as strongly as his allies might like. Megamall on the Hudson: Planning, Wal-Mart, and Grassroots Resistance, Trafford. Some allies of Berlusconi, especially Lega Nord (Northern League) push for a strong control of immigration and getting their support has required some changes in policies from Berlusconi. Porter, David (2003). Every man in the party apparatus is appointed by Berlusconi himself: for all these reasons, its political opponents call Forza Italia "the plastic party". ISBN 0745318460.. There are no known factions or currents; at present three party conventions have been held, all of them resolved to support Berlusconi, and his re-election by acclamation. Nickel and Dimed: On (Not) Getting By in America, Owl Books. Internal democracy in the party is very low and internal dissent virtually non-existent. Ehrenreich, Barbara (2002). However, Forza Italia officially joined the European People's Party in 1999, theoretically choosing to be identified mainly as a Christian Democratic party. ISBN 1580086683.. Forza Italia could be considered a liberal party on economical issues, although references to liberalism were more common in the initial years of the party development than they are now; some consider Forza Italia a populist party. How Wal-Mart Is Destroying America and the World: And What You Can Do about It (3rd edition). As he founded his Forza Italia party and entered politics, Berlusconi expressed support for "freedom, the individual, family, enterprise, Italian tradition, Christian tradition and love for weaker people" [5]. Quinn, Bill (2005). He is strongly supported by the Northern League, but opposed by UDC and AN. ISBN 0465023169.. Tremonti had been the Minister of Economy just few years earlier, but was forced to resign. Selling Women Short: The Landmark Battle for Workers' Rights at Wal-Mart. Another controversial move was the nomination of Giulio Tremonti as Vice-Prime Minister. Featherstone, Liza (2004). There have been harsh criticisms on Berlusconi's choices: the ministry of Health, previously occupied by Girolamo Sirchia, a famous doctor, has been given to Francesco Storace, who, only a few weeks earlier, lost the regional elections in Latium. ISBN 1932857249.. A key point required by UDC (and to a minor extent by AN) was to reduce the focus on tax reduction the government had had, because this was considered incompatible with Italy's financial situation. Wal-Mart: The High Cost of Low Price, Disinformation Company. On April 23 he formed a new government with the same allies, but with some changes in the ministers and in the program. Spotts, Greg (2005). Berlusconi thus presented to the President of the Republic the dissolution of his government on April 20, 2005, after much hesitation. ISBN 0385513569.. Two parties (UDC and NPSI) left the Berlusconi government. The Bully of Bentonville: How the High Cost of Wal-Mart's Everyday Low Prices Is Hurting America. In the last local elections (April 3 and April 4, 2005), the opposition The Union (formerly known as Olive Tree) won easily 12 of 14 regions where there was a vote; Berlusconi's coalition held in only two regions (Lombardy and Veneto). Bianco, Anthony (2006). As an outcome of these results the other coalition parties, whose electoral results were more satisfactory, asked Berlusconi and Forza Italia for more influence in the government's political line. ISBN 155860684X.. Forza Italia's support also reduced from 29.5% to 21.0% (in the 1999 European elections Forza Italia had 25.2%). Data Warehousing: Using the Wal-Mart Model. Casa delle Libertà has done less well in the 2003 local elections in comparison with the 2001 national elections, and, in common with many other European governing groups, in the 2004 elections of the European Parliament, gaining 43.37% support. Westerman, Paul (2000). Anyway, Berlusconi himself has always claimed he achieved all the goals of the agreement. ISBN 0785261192.. In particoular, the Italian GDP grew very slowly during Berlusconi's Government, and the public debt rose fastly. The Wal-Mart Way: The Inside Story of the Success of the World's Largest Company. Even if the opposition and some allied parties recognized Berlusconi could not achieve what he promised in the contract, most of his allies agree in finding the reasons of this failure in the unfavourable economical condition Italy is living. Soderquist, Don (2005). In this unofficial agreement, Berlusconi claimed he could improve several aspects of italian economy and life, as like lowering taxes, increasing employment, building up new pulic works, increasing retirement rents and struggling crime. ISBN 1591840430.. In a TV show during the electoral campaign, Berlusconi signed the so called Contratto con gli Italiani (agreement with Italians), that was likely a key step to achieve the victory. The Wal-Mart Triumph: Inside the World's #1 Company. His success in this election led to him becoming Prime Minister once more, with the coalition receiving 45.4% of the vote for the Chamber of Deputies (Italian's Lower House), and 42.5% for the Senate-House (Italian's Upper House). Slater, Robert (2004). In 2001 Berlusconi again ran as leader of the centre-right coalition Casa delle Libertà (House of Freedoms) which includes Alleanza Nazionale, UDC (Christian Democrats), Lega Nord and other parties. ISBN 1591840066.. [4]. The Wal-Mart Decade: How a New Generation of Leaders Turned Sam Walton's Legacy into the World's #1 Company. In 1996, the ad-interim coalition formed by Northern League and centre-left was replaced, after a new election, by a centre-leftist government (without the League) led by Romano Prodi. Slater, Robert (2003). The coalition of opposition parties (now including the League) then replaced him. ISBN 0812963776.. In December 1994, the Northern League left the coalition claiming that the electoral pact had not been respected, forcing Berlusconi to resign from office and moving the majority's weight to the centre-left side. In Sam We Trust: The Untold Story of Sam Walton and Wal-Mart, the World's Most Powerful Retailer. He was appointed Prime Minister in 1994, but his term in office was short because of the inherent contradictions in his coalition, between the League, a regional party with a strong electoral base in northern Italy, which was at that time oscillating between federalist and separatist positions, and National Alliance, a nationalist party which only then started dropping references to fascist ideology and symbols. Ortega, Bob (1998). One of the most clamorous promises he did to win was "one million jobs more". ISBN 1595580352.. Berlusconi launched a massive campaign of electoral advertisements on his three TV networks, and he won the elections, with Forza Italia ranking first party with 21% of popular vote. Wal-Mart: A Field Guide to America's Largest Company and the World's Largest Employer, New Press. Berlusconi founded Forza Italia only two months before the 1994 elections; he formed two separate electoral alliances, with the Northern League in northern-Italian colleges, and with post-fascist National Alliance in the center and south; in a pragmatic move, he did not ally with the latter in the North, as the League disliked them: Forza Italia was then allied with two parties that were not allied with each other. Lichtenstein, Nelson (2006). They regarded: alleged bribes (to political parties and public officers in the aim of getting contracts), alleged fake invoices of Publitalia, political congress financing and television frequencies. ISBN 0471679984.. Furthermore, the creditor banks started asking for their money back and the advertising income stopped growing after the big increases of the previous years. One of the most debated matters about Berlusconi has been about the true reasons Berlusconi entered into politics. Independent America, a 2005 documentary on the larger issue of independent businesses fighting for survival against corpprate chains. This because just couple of weeks before he decided to enter into politics, the Mani Pulite affair was very close to issuing warrants for him and the chief executives of his group. Outrageous Fortunes, BBC Three, aired on 26 April 2004, about the workings of Wal-Mart. This led to the expectation that elections would be won by the Democratic Party of the Left (Partito Democratico della Sinistra), (the former Communist Party and the main opposition party) and their allies of the Progressive coalition, unless there was a strong alternative: Berlusconi publicly announced on January 26th 1994 his decision to enter politics ("Going down onto the field", in his words) on a platform centered on the defeat of communism. Featuring interviews with both Wal-Mart top brass and critics, it won a Pulitzer Prize and a Peabody Award for television excellence. In the early 1990s, the two largest Italian majority Parties, the Christian Democrats (Democrazia Cristiana) and the Socialist Party (Partito Socialista Italiano) lost much of their electoral strength due to a large number of judicial accusations of corruption for their foremost members (see the Mani Pulite affair). The Age of Wal-Mart, a 2004 documentary produced by CNBC. Berlusconi also owns the football club AC Milan which some think has been an important factor in the success of his political career ("Forza Italia" means "Go Italy!", and before the party was founded it was connected to football supporters of the national team [3]). and China. His brother controls Il Giornale, and his wife Il Foglio, both centre-right newspapers that print a lot fewer daily copies than the more popular Il Corriere della Sera and La Repubblica. Frontline: Is Wal-Mart Good for America?, a PBS Frontline documentary on the impact of Wal-Mart in the U.S. Berlusconi's main group, called Mediaset, comprises three national television channels, which hold approximately half the national viewing audience; and Publitalia, the leading Italian advertising and publicity agency; Berlusconi also owns Mondadori, the largest Italian publishing house, which publishes Panorama, a news magazine; he has interests in cinema and home video distribution firms (Medusa and Penta), insurance and banking (Mediolanum) and a variety of other activities. Store Wars, a PBS special taking a close look at one community's battle over Wal-Mart. In 1999 Berlusconi expanded again in the media business in a partnership with Kirch called the Epsilon MediaGroup. Why Wal-Mart Works & Why That Makes Some People Crazy, a pro-Wal-Mart documentary (not affiliated with Wal-Mart). In 1995, Berlusconi sold a portion of his media holdings, first to the German media group Kirch (now bankrupt) and then by public trading. Wal-Mart Space a blog run by Bobby Gerry which explores Wal-Mart's financial statements. Only in the 1990's was the government monopoly on information ended. AlwaysLowPrices.net a blog run by Kevin Brancato (discontinued on November 14, 2005). For many years, the three italian TV channels owned by Berlusconi were not allowed to broadcast news and political commentary, yet they formed the main alternative to the three State-owned channels Rai Uno, Rai Due and Rai Tre. Wal-Mart political donations. In 1986, Berlusconi tried also to expand in France with his channel La Cinq, but the project failed and he had to leave in 1990. 2004-04-09 10-K. A strong help to his successful effort to create the first and only Italian commercial TV empire is due to his link with Bettino Craxi, at that time secretary-general of Italian Socialist Party and prime minister of Italy. WMT: Profile for WAL-MART STORES - Yahoo! Finance. In 1980 he founded Italy's first private national network Canale 5, shortly followed by Italia 1 bought from The Rusconi family (1982) and Rete 4 (1984) bought from Mondadori. Company Profile. This was illegal at the time, since Italian law reserved the monopoly of national TV broadcasting to the public television. Yahoo! - Wal-Mart Stores, Inc. Fininvest was to expand to a country wide network of local TV stations which would all broadcast the same materials, forming, in effect, a single national station. Wal-Mart: The High Cost of Low Price A feature-length documentary. Among the banks that helped in this funds transfer was the above mentioned Banca Rasini. The New Rules Project(critiques big box development, not limited to Wal-Mart). The funding sources are still unknown, because of the complex system of holding companies that makes them impossible to be determined. Wal-Mart Free NYC A group fighting to keep New York City Wal-Mart free. In 1978 Berlusconi formed his first media group, Fininvest, that in five years, till 1983, was going to earn 113 billion lire (the equivalent of about 260 milion euro at 1997 value). Wal-Mart Wiki Though not strictly critical, this wiki is definitely weighted against Wal-Mart in its current state. Berlusconi later stated that he was absolutely unaware of who Mangano really was when he hired him. Wal-Mart Watchlabor union-funded website. Mangano left spontaneously in late 1976, concerned about Berlusconi's reputation, since many newspapers started making a scandal about his relationship to him. Wake-Up Wal-Mart website by the United Food and Commercial Workers. Berlusconi kept Mangano as an employee despite his criminal record dating back to the 1960s, and never dismissed him even when, during his time as employee in the Villa, he was imprisoned because of convictions, and suspected of arranging the kidnapping of a friend of Berlusconi. Index of numerous studies on Wal-Mart's economic and social impacts from The American Independent Business Alliance. Officially Mangano was hired by Berlusconi as stable keeper, but he also took care of the Villa's security and took sometimes Berlusconi's children to school. Sprawl Busters, site Al Norman, an activist who helps local "site fights" against big box stores. Marcello Dell'Utri, a close Berlusconi's friend and coworker, brought in this Villa the young Mafia boss Vittorio Mangano, from Palermo (Sicily). Rotten Library: Wal-Mart. In 1974 Berlusconi moves with his family into Villa Casati, in Milan. Video report of Wal-Mart using child labor, CBC News, November 30, 2005. His first entry into the media world was in 1973 by means of a cable television station, Telemilano, designed to service his Milano 2 residential development. Wal-Mart caught using child labor, CBC News, November 30, 2005. Berlusconi's business career began in the construction business in the 1960s. Maryland's House approved a bill that would require all businesses in the state with more than 10,000 employees to spend at least 8 percent of their payroll on health benefits for workers. Berlusconi did not serve the standard one-year stint in the army which was compulsory at the time. Sweet Victory: Maryland Stands Up To Wal-Mart, The Nation, Sunday, April 17, 2005. After completing his secondary school education at a Salesian college, which he worked his way through as a singing waiter, he then studied law at the Università Statale in Milan, graduating cum laude with a thesis on the legal aspects of advertising in 1961. Retaliating first, Wal-Mart in Canada, The Economist, Feb 24th 2005. Palermo judges indicated Banca Rasini among those that were used for mafia money laundering, according to an interview of Michele Sindona by Nick Tosches22. Wal-Marts Cost State, Study Says, San Francisco Chronicle, August 3, 2004. Silvio takes a special pride that his father started his career in Banca Rasini as an employee and left as general manager. House of Representatives Representative George Miller, Senior Democrat, February 16, 2004. Silvio was the first of three children, the others being Maria Antonietta Berlusconi (born 1943) and Paolo Berlusconi (born 1949), now both entrepreneurs. Everyday Low Wages: The Hidden Price We All Pay For Wal-Mart(pdf), A Report by the Democratic Staff of the Committee on Education and the Workforce U.S. Berlusconi was born in an upper middle-class family in Milan; his father Luigi worked at a small bank, Banca Rasini, of which he became general manager in the 1960s before retiring. Article argues that the decline of Union Industry jobs and the rise of Wal-Mart is destroying America's middle class. . In Wal-Mart's America, Washington Post, August 27, 2003. Milan football team between 1986 and 2004; after his resignation - dictated by law - on December 26, 2004 the team didn't however elect a new president [2], so he is now merely the owner of the team. Up against the Wal-Mart, Business Week, March 13, 2000, Explains union's attempt to unionize Wal-Marts. He was also the President of the A.C. "Wal-Mart: High Prices for American Workers" file, (PDF February 16, 2004) from the Democratic Staff of the House Committee on Education and the Workforce. According to Forbes Magazine, Silvio Berlusconi is Italy's richest person, a self-made man with personal assets worth $12,000,000,000 (USD) in 2005, making him the world's 25th richest person [1]. California Legislators Call for Oversight of Wal-Mart's Health Benefits (Study of Peachcare). He is also the owner and founder of an Italian media empire. "The Wal-Mart You Don't Know", Fast Company, Issue 77, December 2003, Page 68 Wal-Mart's relentless pressure can crush the companies it does business with and force them to send jobs overseas. On April 23, 2005, he formed a new government without many changes. "Inside the Leviathan" by Simon Head for The New York Review of Books, December 16, 2004. On April 20, 2005, Berlusconi tendered the resignation of his government after losses in regional elections and internal problems in his coalition. UC Berkeley report on the community impact of Wal-Mart's lower wages(pdf). In 2001, he was appointed to the office again; the second Berlusconi government is the longest-lasting in Italy's republican history. How Costco Became the Anti-Wal-Mart, The New York Times, July 17, 2005. Berlusconi served as Prime Minister for a short term (seven months) in 1994. Costco's Dilemma: Is Treating Employees Well Unacceptable for a Public Corporation? The Wall Street Journal, March 26, 2004 Costco's compensation for its employees with comparison to Wal-Mart. He is the leader of the Forza Italia political movement, a party which he officially announced in January 1994, to run for the first time in the general election in March of the same year. Company for the People Seattle Weekly, December 15 - 21, 2004, Article which contrasts Wal-Mart with employee-friendly Costco. Silvio Berlusconi (help·info) (born September 29, 1936) is the current Prime Minister of Italy. The Freedom to Hate Wal-Mart?, Paul Jacob, The Free Liberal, December 5, 2005. [19], [20] Journalists Marco Travaglio (interviewed by Daniele Luttazzi in his show Satyricon). Should We Admire Wal-Mart? Fortune Magazine, March 8, 2004. Origini e misteri delle fortune di Silvio Berlusconi (Elio Veltri and Marco Travaglio, 2001, Editori Riuniti, ISBN 88-359-5007-4). Economy a study funded by Wal-Mart, determining the net economic impact of Wal-Mart at the national, city, and county level. L'odore dei soldi. Measuring the Economic Impact of Wal-Mart on the U.S. ISBN 3-426-03970-2. of Economics, University of Missouri, 2002. Die Affäre Sindona. München 1987. "Job Creation or Destruction? Labor-Market Effects of Wal-Mart Expansion" (pdf), Emek Basker, Dept. (de) Geschäfte mit dem Vatikan. "A distorted lens on Wal-Mart", Bruce Bartlett, Washington Times, November 22, 2004. 316 pages) Dewey class: 332.1. Wal-Mart's China inventory to hit US$18b this year China Daily, November 29, 2004. le memorie e le rivelazioni di Michele Sindona (Published in Milano by editor SugarCo in 1986. Wal-Mart and RFID: A Case Study Wal-Mart's future plans to further reduce costs. (it) Il mistero Sindona. Understanding the Wal-Mart Effect, Max Borders, Tech Central Station, April 11, 2005. (en) Power On Earth, 1986, Arbor House Pub Co, USA, ISBN 0877957967. Business Week, October 26, 2005, "Some Uncomfortable Findings for Wal-Mart" overview of some academic research findings on Wal-Mart. New York Times journalist Nick Tosches interviewes with Michele Sindona, while imprisoned in the United States:
Berlusconi and his mysteries, paper spread July 2, 2003 among the european parliamentarians by member Gianni Vattimo, written by journalists Marco Travaglio and Peter Gomez. Much of the best reporting and studies from multiple perspectives is collected here. Berlusconi's life: cronology, paper spread July 2, 2003 among the european parliamentarians by member Gianni Vattimo, written by journalists Marco Travaglio and Peter Gomez. The articles largely are critical of Wal-Mart, but supporters also are represented. Jewish communities split over Berlusconi, BBC News, 26 September 2003, Retrieved 2005/2/2. Reclaim Democracy huge collection of articles, studies and websites on Wal-Mart. New storm over Berlusconi 'remarks', BBC News, 11 September 2003, Retrieved 2005/2/2. Wal-Mart Public Relations site. Italian premier's brother wants plea bargain in corruption case, Financial Times, 22 April 2002, Retrieved 2005/2/1, reported on the la Margherita (the Daisy) opposition party website. Wal-Mart Foundation. Q&A: Berlusconi's battle with the courts, BBC News, 24 January 2002, Retrieved 2005/2/1. Corporate Site. Italian president blocks reforms, BBC News, 16 December 2004, Retrieved 2005/2/1. Wal-Mart Stores, Inc. Italian magistrates go on strike, BBC News, 25 May 2004, Retrieved 2005/2/1. The Wal-Mart in Madison, Ohio is the only Wal-Mart with two American flags outside. Italian judges fight reform, BBC News, 20 June 2002, Retrieved 2005/2/1. With the success of the much smaller "dollar" stores like Dollar General, Family Dollar, and Dollar Tree, Wal-Mart is seriously considering entering the dollar store business.[25]. Berlusconi stuns Italian judges, BBC News, 5 September 2003, Retrieved 2005/2/1. Ol' Roy, the Wal-Mart brand of dog food sold at the stores, was named after Sam Walton's dog, which lived from 1970 to 1981. Berlusconi warns 'subversive' judges, BBC News, 8 August 2003, Retrieved 2005/2/1. United Kingdom (ASDA): 282. Berlusconi ally partially cleared, BBC News, 22 November 2003, Retrieved 2005/2/1. Puerto Rico (United States insular area): 54. Berlusconi ally jailed for bribery, BBC News, 29 April 2003, Retrieved 2005/2/1. Mexico: 678. Berlusconi scores double victory, BBC News, 5 November 2002, Retrieved 2005/2/1. South Korea: 16. Italian Senate passes disputed bill, BBC News, 2 August 2002, Retrieved 2005/2/1. Germany: 91. Berlusconi plans to get off the hook, The Observer, 7 October 2001, Retrieved 2005/2/1. China: 43. Italy's left attacks Berlusconi, BBC news, 11 December 2004, Retrieved 2005/1/22. Canada: 262. Berlusconi accused of Mafia links, BBC news, 8 January 2003, Retrieved 2005/1/22. Brazil: 295. Berlusconi in EU 'Nazi' slur, BBC news, 2 July 2003, Retrieved 2004/12/24. Argentina: 11. Italy immunity law provokes fury, BBC news, 25 June 2003, Retrieved 2004/12/24. International: 1,587 (US$56.3 billion total)
^ Silvio Berlusconi From Forbes.com's: Forbes World's Richest People, Retrieved 2006/01/03. SAM'S CLUB (United States): 551 Clubs (US$37.1 billion total). a much shorter statute of limitation for white-collar crimes (some argued that this law was proposed to free a friend of Berlusconi (Cesare Previti) from corruption charges, but in the end people in Cesare Previti situtation were excluded by the benefits of this law) coupled with an increase in sanctions for repeated offenders. Neighborhood Markets: 85. the suspension of trials against the highest authorities during their terms (this law was later declared unconstitutional). Supercenters: 1,713. the depenalization of fake account statements. Discount Stores: 1,353. The abrogation of the most controversial items has been the object of an unsuccessful popular referendum called in June 2005 by former allies like the Radicals together with some (but not all) left-wing parties. Wal-Mart Stores USA (3,337 stores, excluding Puerto Rico) (US$201.4 billion)
This law was actually a small modification of a law approved by the parliament in the previous term, and which was going to be applied soon anyway. as of October 31, 2005. The reform of rules regarding drivers' licenses, which (according to the Italian police department) led to a 14.5% decrease in car accidents, or an 18.5% decrease of lethal car accidents. There were 556 Sam's Clubs in the U.S. The Urbani decree, named after the Ministro per i beni e le attività culturali Giuliano Urbani, punishing whoever circulates, even via file sharing software, a film or other copyrighted material or part of it, or enjoys it with the same technology, with a 1,500 € fine, the confiscation of the instruments and the material, and the publication of the measure on a national daily paper and a periodical about shows. Clubs average 128,000 square feet (11,891 m²). The abolition of compulsory military service for all male Italians (the armed forces now composed only of volunteers since 2004, anticipating the deadline set in a law passed by the previous government). SAM'S CLUB — a membership-only wholesale warehouse club focused mainly on serving small business owners. Abolition of Donation and succession taxes on high income (these taxes had already been abolished for low- and medium- income taxpayers by the previous government). The walmart.com site also offers digital music downloads with digital rights management (DRM) and online photo processing. ). Walmart.com — Online shopping site that offers merchandise different from that in stores. The law on large public works (MOSE project saving city of Venice, High speed railways Turin-Milan-Florence-Rome-Naples and Turin-Verona-Venice, Bridge between Sicily and Italy, underground in Rome, Parma, Naples, Turin, Milan, a strong modernisation of Highways and Water structures in South of Italy, project "Highways on the sea", etc. The concept will be introduced into Canada in 2006 with 3 stores (one in London, Ontario and 2 in the Greater Toronto Area). The reform of the school system. as of October 31, 2005. The reform of the labour system. There were 96 Neighborhood Markets in the U.S. Wal-Mart Neighborhood Market — Average 43,000 square feet (4,000 m²) and include grocery, pharmacy, and limited general merchandise products. as of October 31, 2005. There were 1,914 Wal-Mart Supercenters in the U.S. Some locations also sell gasoline through Murphy USA. The food courts are normally limited-menu McDonald's, though Subway, Dunkin Donuts, and Baskin-Robbins have also been located. (commonly known as big box stores) The stores also typically feature a tire and oil change shop (Wal-Mart Tire & Lube Express), a hair-cutting place, a Movie Gallery video store, an arcade, an eye-care place, and a branch from a local bank in the area. Wal-Mart Supercenter — Average 187,000 square feet (17,400 m²) and combine a standard Wal-Mart Discount Store with a full-line supermarket. as of October 31, 2005. There were 1,233 Wal-Mart Discount Stores in the U.S. The stores also have an in-house-branded food court. Wal-Mart Discount Stores — Average 100,000 square feet (9,290 m²) and include a selection of general merchandise, including apparel, electronics, health and beauty aids, toys, sporting goods, and household products. Wal-Mart Stores USA
'Stuff-Mart' is a location in the Veggie Tales video "Madame Blueberry," which addresses consumerism. 'Wall 2 Wall Mart' is seen in The Fairly OddParents. Another cartoon, "This Land", also parodies Wal-Mart. A JibJab comic called "Big Box Mart" premiered on the October 13, 2005 Tonight Show with Jay Leno. South Park residents return to a mom and pop store until it too becomes a big box retailer, which residents promptly burns to the ground. Stan and Kyle eventually destroy the Wall-Mart by breaking its heart, a mirror in the electronics department that reflects the image of Stan and Kyle, which shows them that the heart of Wall-Mart is the consumers. The town, unable to resist shopping there, tries to burn Wall-Mart, but a crew rebuilds it the following day. The episode also pokes fun at consumers: South Park residents are forced to shop at Wall-Mart because they are unable to resist its everyday low prices. The retailer is depicted as a self-aware and independent entity, building itself across the nation to take over everything, and forcing employees and managers to work there against their will. A "Wall-Mart" built in Comedy Central's South Park episode "Something Wall-Mart This Way Comes" runs all local stores out of business. Ironically, he is hired to sell propane at Mega Lo Mart until the store is burned down when an inept supervisor causes a gas leak.[21]. When Mega-Lo Mart begins selling propane, Strickland Propane can't compete with their prices, and protagonist Hank Hill loses his job selling propane and propane accessories. "Mega-Lo Mart" (with a pronunciation similar to "megalomania") is a large discount retailer on Fox's King of the Hill. A Mad TV sketch made a parody of the franchise refering to it as "Walls Mart" poking fun at the bland persistence of Wal*Mart employees. This may be a parody of Wal-Mart, such as its taking on additional markets, like Sam's Club imitating Costco and Neighborhood Markets imitating Albertson's or Safeway. A large Wal-Mart like store is shown in the background. Additionally in another episode when Homer asks Ned Flanders how his Leftorium store is doing he says not too good, due to a "Left*Mart" having moved in. In the 2005 episode "On A Clear Day I Can't See My Sister", the Sprawl-Mart carries the sign "Not a parody of Wal-Mart". "Sprawl-Mart" is a big-box retailer in Springfield on Fox's The Simpsons. Sy Parrish, the main character in 2002's One Hour Photo, works at a large discounter called "Sav-Mart". A Wal-Mart in the middle of the New Mexico desert serves as a product placement parody in the 2003 animated comedy Looney Tunes: Back in Action. The scene was filmed outside a Frisco, Colorado Wal-Mart. A ultra-slick, out-of-control sled ridden by Clark Griswold (Chevy Chase) into the toy donation bin outside of a Wal-Mart in National Lampoon's Christmas Vacation. The character is also included in the 2005 film adaptation, The Sisterhood of the Traveling Pants. Tibby, a character in Ann Brashares 2001 novel, The Sisterhood of the Traveling Pants, spends her summer working at 'Wallmans'. Letts' book was adapted in 2000's Natalie Portman-Ashley Judd film Where the Heart Is. The film, costarring Joan Cusack and Stockard Channing, changes the setting to a Lubbock, Texas Wal-Mart. Billie Letts's 1995 novel Where the Heart Is depicts 17-year-old Novalee Nation moving in to, and give birth in, an Oklahoma Wal-Mart. Wal-Mart also squeezes out any inefficiencies in the business, such as reducing paper consumption by using a computerized process. Hourly employees can be reprimanded or terminated for having unauthorized overtime. Cost Control: Wal-Mart watches controllable expenses very closely. Mainland Chinese media place Wal-Mart as their 8th largest trading partner in front of Russia and the UK on the top-10 list. current account imports from China was reported as $152.4 billion during 2003 [10]. U.S. operations. In the same period net sales reached $256 billion, with $209 billion coming from U.S. About $7.5 billion were directly imported by Wal-Mart; the other $7.5 came indirectly through suppliers. 31, 2004. 18, 2004 that it imported $15 billion worth of goods from China in the year that ended Jan. Suppliers: A spokesperson for the company told the Wall Street Journal on Nov. As of June 2004, it has announced plans [9] to require the use of the technology among its top 300 suppliers by January 2006. Also, Wal-Mart's focus on cost reduction has led to its involvement in a standards effort [8] to use RFID-based Electronic Product Codes to lower the costs of supply chain management. Information Systems: Wal-Mart helped push the retail industry to adopt UPC codes and bar-code scanning equipment. This is why Wal-Mart began to sell low margin groceries. This allows the company to grow revenue over its fixed cost base (more sales out of the same store). One particular aspect of the economy of scale is the aggregation effect, used in other business such as The Home Depot and Wells Fargo, whereby Wal-Mart sells as many different items as possible. Wal-Mart's vast purchasing power also gives it the leverage to force manufacturers to change their production (usually by creating cheaper products) to suit its wishes: a single Wal-Mart order can easily comprise a double-digit percentage of a supplier's annual output. This reduces the overhead of having a large inventory control and buying department. They are leaders in the field of vendor managed inventory—asking large suppliers to oversee stock control for a category and make recommendations to Wal-Mart buyers. Wal-Mart benefits from economies of scale in manufacturing and logistics; the purchase of massive quantities of items from its suppliers combined with a very efficient stock control system help make Wal-Mart's operating costs lower than those of its competitors. "This strategy gave Wal-Mart a near monopoly in its local markets and enabled the company to ride out the recessions of the 1970s and 1980s more successfully than its then larger competitors such as K-Mart and Sears."[7]. Lastly, rural towns were less likely to have organized unions and community activists unlike large urban centres. Wal-Mart then promptly moved quickly to pre-empt these discovered locations, since allowing a competitor to locate would likely cause a price war that would make both discount stores unprofitable. Although the intended location was a seemingly small rural town, being up in a plane would reveal a lucrative market if the surrounding communities were taken into account, defying the conventional wisdom that a discount store requires a sizable city. The company claims it analyzes potential locations to find those that would support "one and a half" stores. The company has always paid a great deal of attention to site selection; in the company's early years, Sam Walton would fly over small towns in a private plane to identify prospective locations. 2006: Wal-Mart is built in the town of Napanee, Ontario after years of discussion. 2005: Wal-Mart seeks to expand to urban markets, most notably New York City, Chicago, and Los Angeles. Five months later, Wal-Mart announces that it would close the store, citing poor sales. 2004: Wal-Mart employees in Jonquière, Quebec, Canada vote in favor of becoming the first unionized Wal-Mart in North America. 2004: Wal-Mart buys the Amigo supermarket chain in Puerto Rico for $17 million. 2003: Wal-Mart sets a single-day sales record of $1.52 billion on Black Friday. It acquires the ASDA Group with 229 stores in the United Kingdom. 1999: Wal-Mart has 1,140,000 employees, making it the largest private employer in the world. 1998: First Wal-Mart Neighborhood Market opens. 1997: Wal-Mart has its first $100 billion sales year. 1997: Wal-Mart becomes largest private employer in the United States, with 680,000 employees worldwide. Woolworth's Square One Shopping Centre location in Canada becomes the largest Wal-Mart store in the world, at 220,000 square feet (20,000 m²). 1997: Wal-Mart replaces Woolworth on the Dow Jones Industrial Average. 1996: Wal-Mart enters China through a joint-venture agreement. 1994: Wal-Mart acquires 122 Woolco stores in Canada. opens, in Mexico City. 1991: The first store outside of the U.S. 1990: Wal-Mart becomes nation's largest retailer. 1988: First Supercenter opens in Washington, Missouri. 1987: Wal-Mart completes largest private satellite communication system in the U.S. 1983: First Sam's Club opens in Midwest City, Oklahoma. 1972: Wal-Mart listed on the New York Stock Exchange. on October 31, 1969. 1969: The company incorporates as Wal-Mart Stores, Inc. 1962: First Wal-Mart store opens in Rogers, Arkansas. |